In recent years and months, mobile payment systems such as Android Pay, Apple Pay, and Samsung Pay, have been ramping up, giving merchants ample choices. The consumer demand for mobile wallets is on the rise, and for good reason.
For merchants of all types, from small mom-and-pop stores to Fortune 500 companies, mobile wallets can boost revenue and reduce operating costs substantially.
Here are five reasons why the mobile wallet is more crucial to the future of retail than apps.
Ability to Reduce Costs
Retailers and food service operators can enjoy the benefit of reduced costs by using mobile wallets. This is because they can drastically lower fraud loss and/or payment processing fees, the latter of which merchants often cite as one of the largest expenses after labor.
With apps, there is still a huge risk to hackers getting into the system and obtaining critical customer info, such as their addresses, bank accounts, and credit card numbers.
More Sales and Increased Revenues
Mobile wallets have the ability to move more consumers through the line quicker, driving up revenues for merchants. If a business has the ability to leverage a mobile wallet to engage and connect with costumers, it can sell more products and services during slower periods by enabling customers to check out anywhere at anytime, or enticing them with exclusive discounts and coupons.
While apps allow retailers to connect with consumers and offer them promos, buyers do not have the ability to purchase items as easily as they would if they were using a mobile wallet.
Catering to the Anywhere, Anytime Customer
More people are performing their daily errands online, creating significant opportunities for retailers to be invited into a consumer’s mobile world. If a retailer creates a rich interactive experience for the mobile-enabled consumer, it allows customers to purchase items both in store and via internet-based mobile purchasing opportunities.
With mobile wallets, users enter their information once and then receive PIN numbers through text messages, which are used to complete the purchase. Shoppers only need to enter their PINs to complete the transaction, saving them the time and hassle of re-entering all of their information again for future transactions, as some apps require.
Rich Marketing Platforms
A report recently released by Forrester Research suggested that mobile wallets are set to become an essential marketing platform within the next five years. Mobile loyalty is important for connecting with consumers, and brands should mobilize their loyalty programs and branded content to offer promos to consumers in real time.
Mobile wallets are imperative for brands hoping to use mobile technology to reach consumers. If your retail business wants to enjoy the many benefits of mobile wallets and text messages, contact EZ Texting today. We look forward to hearing from you.